The cryptocurrency market is currently navigating through a tumultuous period, driven by significant developments such as statements from Powell, the ousting of Cook, and comments by Trump. Despite this rush of events, Bitcoin shows little momentum towards achieving new milestones, as evidenced by its latest peak only slightly exceeding the previous one. These developments lend credence to Roman Trading’s long-standing forecast of a market downturn.
Is Bitcoin Set for a Downturn?
Roman Trading has persistently expressed concerns about Bitcoin’s decreasing potential to reach higher valuations, underscoring a weakening long-term structure. Recently, he advised traders that the window to sell at six-figure prices might be closing, urging them to secure profits. His present insight warns of a likely double top pattern that could lead to further decline.
Upon examining the daily Bitcoin chart, the analyst observes a tendency towards a bearish trend. A critical concern is the survival of the support level at 112,000. If this threshold is breached, attention shifts to the next support at 102,000. The double top formation may confirm a downturn unless Bitcoin reclaims the 112,000 support in the coming days.
Bitcoin’s recent efforts to ascend above 112,000 were unsuccessful over the past 24 hours. This reflects a similar downbeat opening of US markets alongside muted trading day news, creating a challenging environment for cryptocurrency.
What Does This Mean for Altcoins?
Altcoins, however, may see a glimmer of hope. Despite a modest net inflow of 88 million dollars from Bitcoin ETFs, altcoin markets, particularly Ethereum, experienced substantial inflows over 400 million dollars. This suggests a shift of interest toward altcoins as Bitcoin’s excitement wanes.
Roman Trading remains optimistic about altcoin prospects, predicting that a modest decline in Bitcoin may catalyze an ETHBTC rally. A rise in the ETHBTC ratio at 0.041 could signify a decline in Bitcoin’s dominance, pushing investments towards altcoins instead.
Key cryptocurrencies such as SOL Coin and AVAX are realizing gains close to 6%. Meanwhile, XRP has rebounded to a 3-dollar valuation, and ETH hovers close to its peak.
In summary, the cryptocurrency market may be steering towards an adjustment phase, with Bitcoin potentially ceding ground to altcoins, inviting investors to diversify their portfolios.
